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NEW SCHOOL LEGISLATION 



AMENDMENTS TO THE SCHOOL LAW AND PROVISIONS RELATIVE 
TO LOCAL TAXES ENACTED BY THE SPECIAL SESSION OF THE 
GENERAL ASSEMBLY, 1920 

Tlie General Assembly of North Carolina do enact: 

Section 1. That section 1, chapter 102, Public Laws 1919 (section 5481 of 
the Consolidated Statutes), be and the same is hereby amended by striking out 
in line two, after the words "a tax of" the words "thirty-two," and inserting 
in lieu thereof the word "thirteen." 

Sec. 2. That section 6, chapter 1Q2, Public Laws of 1919 (section 5486 of 
the Consolidated Statutes), is hereby amended by striking out the provision 
beginning with line twenty-eight of section 6, and substituting in lieu thereof 
the following : 

"Provided, that no county shall participate in the equalizing fund until it 
shall have provided by tax levy ten per cent (10%) more for the school year 
1920-21 than it provided in the school year 1919-20 : Provided further, that in 
any county that may not be able to provide a school fund, under the foregoing 
provisions, sufficient to maintain its public schools for the full term of six 
months, in accordance with the budget made up on the basis of the standard 
salary for teachers adopted by this act, the board of education of such county 
is hereby authorized to borrow such additional sum, or any part thereof, as 
may be necessary for this purpose, to be repaid out of the proceeds of the tax 
levy for the year 1921-22 ; and any county, so providing a county school fund 
by tax levy above mentioned, and through borrowing as above provided, equal 
to a tax levy of 15 cents for the year 1920-21, shall be entitled to participate in 
the State equalizing fund to make up any remaining deficit in the school budget 
for the year 1920-21." 

Sec. 3. That section 7, chapter 102, Public Laws 1919 (section 5487 of the 
Consolidated Statutes), be and the same is hereby repealed, and the following 
is substituted in lieu thereof : 

"All poll tax, fines, forfeitures, penalties, and all public school revenues, 
other than that derived from the State public school fund and the special 
county tax, shall be placed to the credit of the incidental expense fund and the 
building fund, as provided in the budget ; and if this amount is insufficient for 
these funds, the county board of education may provide in the county school 
budget for an additional amount for these purposes specified above : ProvidciZ, 
that the board of county commissioners shall not be compelled to levy a tax of 
more than three cents on the property and twelve cents on the poll." 

Sec. 4. That all of section 2, chapter 114, Public Laws of 1919 (section 5494 
of the Consolidated Statutes), be and the same is hereby repealed, and the 
following is inserted as a substitute in lieu thereof : 

"The State Superintendent of Public Instruction shall recommend annually 
to the State Board of Education for its adoption a uniform graduated salary 
schedule for all teachers, principals, superintendents and assistant superintend- 



ents, based upon training, duties, experience, professional fitness, and continued 
service in the same school system, consistent with the estimated amount to be 
derived from the State public school fund. The said salary schedule, when 
adopted by the State Board of Education, shall be a guide to county boards of 
education in preparing the school budget, in making provision and in appor- 
tioning the funds for a six months school in every district, and it shall be con- 
sidered a fair salary schedule to be presented in the budget to the board of 
county commissioners. However, nothing in this section shall prevent boards 
of county commissioners from providing funds suflBcient to meet a salary 
schedule higher than that provided by the State Board of Education. When 
the State Board of Education shall adopt a graduated salary schedule, this 
shall be the basis for the apportionment of the State public school fund." 

Sec. 5. That section 7, chapter 131, Public Laws of 1919 (section 5503 of the 
Consolidated Statutes), be and the same is hereby amended by adding to the 
section the following : 

"Provided, however, that whatever portion aforesaid shall not be needed to 
meet the Federal requirements as specified above and the requirements in sec- 
tion 5394 of the Consolidated Statutes, is hereby appropriated for the further 
encouragement of vocational education in rural districts as hereinafter pro- 
vided. 

"The State Board for Vocational Education is hereby authorized to use any 
of said unused portion of State funds for the establishment of at least one 
standard high school in counties that have no standard high school and in 
rural districts of other counties in which there is not a standard high school 
located in the rural districts. The preference shall be given first, however, to 
those counties in which there is not a single high school of standard grade : 
Provided, that before any funds, remaining as specified above, shall be appro- 
priated for these purposes, any district, township, or county applying for aid 
shall provide a special local tax of at least ten cents on each one hundred dol- 
lars valuation of property and thirty cents on each taxable poll, and the area 
involved shall be large enough to provide sufficient pupils to maintain a high 
school of standard grade as now defined or hereafter may be defined in the 
rules and regulations governing the classification of high schools : Provided 
further, that when these conditions have been met, the State Board for Voca- 
tional Education may supplement the funds to such an amount that a standard 
high school may be maintained. All such schools established by the aid of 
these funds shall be required to provide for the teaching of vocational subjects." 

Sec. 6. That section 21, chapter 254, Public Laws of 1919 (section 5672 of 
the Consolidated Statutes), be and the same is hereby amended by striking out 
in line six the words "two thousand" and inserting in lieu thereof the words 
"ten thousand." 

Sec. 7. That section 5475 of the Conosolidated Statutes is hereby amended by 
striking out the following : "and to pay for the same out of the apportionment 
to that consolidated district. The daily cost of transportation per pupil shall 
not exceed the daily cost per pupil of providing a separate school in a separate 
district for said pupils," and substituting in lieu thereof the following : 

"An amount sufficient to cover the actual expense of tuch transportation of 
pupils may be included in the county school budget submitted to the county 
board of commissioners on the first Monday in May of each year, and when so 
included by the county board of education it shall be deemed a necessary part 
of the operating expense of the schools, to be paid out of the incidental and 
building funds, and it shall be the duty of the county board of commissioners 

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LiBRARY'ol:. Congress 



to provide the funds necessary therefor, not inconsistent with section 7 of 
chapter 102 of Public Laws of 1919 (section 5487 of the Consolidated Statutes). 
But nothing in this section shall prevent the county board of education from 
arranging with any district committee to pay a reasonable part of this ex- 
pense." 

Sec. 8. That sections 541.5 and 5670 of the Consolidated Statutes is hereby 
amended by striking out the following : "The board shall pay not over one-half 
the cost of the same out of the fund set aside for building under section 5487 of 
this chapter, and the school district in which any schoolhouse is erected shall 
pay the other part ; and upon failure of such district to provide its part by 
private subscription or otherwise, the board is directed to take it out of the 
apportionment to that district." 

Sec. 9. That section 5675 of the Consolidated Statutes is hereby repealed, 
and the following is substituted in lieu thereof : 

"The county board of education, from any sum borrowed under the provis- 
ions of this article, may make loans only to districts that have already levied a 
special tax sufficient to repay the installments and interest on said loan for 
the purpose of building schoolhouses in the district, and the amount so loaned 
to any district shall be payable in ten annual installments, with interest thereon 
at four per centum, payable annually. Any amount loaned under the provis- 
ions of this act shall be a lien upon the total local-tax funds produced in the 
district. Whenever the local taxes may not be sufficient to pay the install- 
ments and the interest, the county board of education must supply the remain- 
der out of the incidental and building fund, and shall make provisions for the 
same when the county budget is made and presented to the commissioners in 
May. 

"All loans hereafter made to local-tax districts shall be made upon the writ- 
ten i)etition of a majority of the committee of the local-tax district asking for 
the loan and authorizing the county board to deduct a sufficient amount from 
the local taxes to meet the indebtedness to the county board of education. 
Otherwise, the county board of education shall have no lien upon the local 
taxes for the repayment of this loan." 

Sec. 10. That section 5677 of the Consolidated Statutes be and the same is 
hereby amended by striking out the following words, "which shall not exceed 
thirty cents on the one hundred dollars and ninety cents on the poll." 

Sec. 11. That section 5678 of the Consolidated Statutes be and the same is 
hereby amended by striking out the words, "exceed the sum of one hundred 
thousand dollars." Said section is further amended by striking out the words, 
"the sum of twenty-five thousand dollars," and substituting in lieu thereof, 
"exceed five per cent of the valuation of the property." 

Sec. 12. That section; 5679 of the Consolidated Statutes is hereby amended 
by striking out the words, "and tax herein fixed." 

Sec. 13. That section 5, chapter 131, and section 5, chapter 119, Public 
Laws of 1919 (section 5394 of the Consolidated Statutes) is hereby amended 
by adding after the words "economic subjects," in line nine, the following : 

"And for the administration of the act of Congress providing for the Voca- 
tional rehabilitation of persons injured in industries and otherwise." 

Sec. 14. That section 5502 of the Consolidated Statutes is hereby amended 
by adding at the end of the section the following : 

"And an act of Congress to provide for the promotion of vocational rehabili- 
tation of persons disabled in industry or otherwise, and their return to civil 
employment." 



Sec. 15. Thati section 5503 of the Consolidated Statutes is hereby amended 
by adding after the words "the Smith-Hughes Act" the following : 

"And an act of Congress to provide for the promotion of vocational rehabili- 
tation of persons disabled in industry or otherwise, and their return to civil 
employment." 

Sec. 16. That section 11, chapter 102, Public Laws of 1919 (section 5491 
Consolidated Statutes), be and the same is hereby amended by adding at the 
end of said section the following : 

"And a sum not to exceed five thousand dollars shall be set aside annually 
from the State public school fund to be used at the discretion of the State 
Board of Education to secure a better administration and apportionment of 
the State public school fund." 

Sec. 17. That section 10, chapter 102, Public Laws of 1919 (section 5490 of 
the Consolidated Statutes), be and the same is hereby amended by striking out 
in lines four and five thereof the words "except in case of an epidemic." 

Sec. 18. That section 8, chapter 102, Public Laws 1919 (section 5488 of the 
Consolidated Statutes), be and the same is hereby amended by striking out all 
of said section down to and including the word "or" in line five thereof, and 
inserting in lieu thereof the following : 

"In the event of a disagreement between the county board of education and 
the board of county commissioners as to the amount of the salary, incidental 
and building funds to be provided by the county for the maintenance of a six 
months school term, and as to the rate of tax to be levied therefor, the board 
of county commissioners shall indicate in writing what items of the annual 
budget of the county board of education have been denied in whole or in part, 
and the reason for the denial in whole or in part of the respective items, then." 

Sec 19. That section 5416, subsection 2, of the Consolidated Statutes is 
hereby amended by striking out the words "not more than three acres shall be 
procured," and inserting in lieu thereof the words, "Not more than ten acres 
shall be procured." 

Sec. 20. That section 5676 of the Consolidated Statutes be and the same is 
hereby amended by striking out the words, "in which there is maintained a 
public high school," and inserting in lieu thereof the words, "in which there is 
maintained a public school employing as many as five teachers." 

Sec 21. That this act shall be in force on and after the date of its ratifica- 
tion. 

Ratified this the 26th day of August, A. D. 1920. 



PROVISIONS FOR liOCAL-TAX DISTRICTS TO BORROW MONEY AS 
PROVIDED IN SECTION 6 OF THE REVENUE ACT 

That whenever the school governing body of any county, city, town, township, 
or other special-tax district having special taxes for schools voted by the peo- 
ple, before the passage of this act, to increase the school term beyond the con- 
stitutional limit of six months shall find that the amount to be derived from said 
special taxes as authorized in section 5 of this act, is insufficient to maintain 
the school term of said county, city, town, township, or other special-tax dis- 
trict for the year 1920-21 the same length of term as maintained in the year 
1919-20, said school governing body is authorized to make a detailed statement 
to the county board of education as to the amount needed upon blanks sup- 



plied by the State Superintendent of Public Instruction ; and the county board 
of education is hereby authorized to borrow from the State Board of Educa- 
tion an amount sufficient to maintain said school or schools the same length of 
term as they were maintained in 1919-20. 

The State Treasurer, when authorized by the State Board of Education, 
shall borrow for the State Board of Education for the purposes specified above 
an amount not to exceed $300,000 to be loaned for the purposes specified above 
under such rules and regulations as the State Board of Education may deem 
advisable. 

The loans under the provisions of this section shall be payable in not more 
than five annual installments and shall bear interest at a rate not to exceed the 
rate the State Treasurer has to pay for money borrowed under the provisions 
of this section. Any amount loaned under the provisions of this section shall be 
a lien upon the total schdol fund of such county in whatsoever hands such funds 
may be. Upon failure of said county, city, town, township, or other special tax 
district to pay installments and interest or any part of either when due the 
State Board of Education may deduct a sufiicient amount for the payment of 
the same out of the State Public School Fund due said county, city, town, town- 
ship, or special-tax district. 

Whenever the general funds in the treasury of the State shall be insufficient 
at any time to provide the additional money for the purposes herein expressed 
and it is necessary for the State Treasurer upon demand of the State Board of 
Education to borrow all or any part of said $300,000.00, the State Treasurer is 
authorized and empowered to execute in the name of the State of North Caro- 
lina and deliver notes for the money authorized in this section to be borrowed 
and to renew the same from time to time, if necessary, until the loans made of 
said fund by the State Board of Education herein authorized are repaid. And 
the State Treasurer is directed to pay said notes pursuant to the authority 
conferred upon him in this section with the proceeds derived from the payment 
of said notes of the said counties, cities, towns, or special-tax districts. And 
any and all notes issued by the State Treasurer under the provisions of this 
section shall be exempt from all State, county, and municipal taxation or 
assessments direct or indirect, general or special, whether imposed for pur- 
poses of general revenue or otherwise and the interest paid thereon shall not 
be subject to taxation as for income nor shall said notes be subject to taxation 
when constituting a part of the surplus of any bank, trust company or corpora- 
tion and it shall be lawful for all executors, administrators, guardians, or 
fiduciaries generally to invest in said notes. 



LIBRARY OF CONGRESS 

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